DAOstewards general delegation thread

Title: DAOstewards general delegation thread

Author: 0xBaer for Bankless DAOstewards

ETH Address: 0x8872fd5F66728Fc7cF01898199e162ee26f47BA8

ENS name: bankless.pod.XYZ

Discord usernames: 0xBaer#6344, jengajojo.eth🏴#5896

Our Values

Bankless Lifestyle: We will help the world go Bankless by creating user-friendly onramps for people to discover decentralised financial technologies through education, media, and culture.

United we stand: We believe decentralisation is paramount in web3 governance. We aim to be the voice of everyday users. We put decision-making into the hands of the collective. We create legitimacy through an environment where the best ideas win.

Net positive engagement: We represent a community aiming to empower all parties involved and develop in a positive-sum manner.

Quality participation: We reward action and embrace risk. We aim to empower the community to continually drive new initiatives by providing a space to self-organize and quickly move from idea to action.

Current Delegation.

We select value-aligned contributors from BanklessDAO to become delegates in our DAOstewards work stream. The work stream participants meet weekly for every protocol in which we exercise meta-governance and discuss our voting strategy and how to pursue the agenda inspired by our values.

Link to our voting history

Current members

  1. 0xBaer.eth (@0xBaer)
  2. Jengajojo.eth (@jengajojo)

Link to contributor database with individual delegate pitch of Bankless DAOstewards.

Our Areas of Expertise

  1. Treasury management
  2. Tokenomics
  3. Contributor economy building and management.

Our Scope of Work and Vision

‘EulerDAO will kick off in three phases for a guarded launch towards full decentralisation of the Euler protocol’ - docs.Euler.finance

To the Euler DAO progressively decentralise itself, DAOstewards have set internal milestones and scope of work.

A: organisational optimisation of the DAO

  • A1: Optimise existing governance process for phase 1 and gather community feedback

  • A2: Prepare the Euler Community for phase 2 governance (Onchain governance)

B: Risk mitigation and sustainability

  • B1: Optimise the money market parameters of the Euler protocol for efficiency through reduced risk.

  • B2: Prepare the DAO to overcome the crypto catastrophe with effective mitigation strategies.

C: Open Finance Development

  • C1: Enable opportunities for external builders to build on top of on Euler protocol

  • C2: Make Euler DAO future-proof by incorporating leading standards and innovations in the web3 space.



DAOstewards aims to build an effective democratic system within the Web3 landscape and experiment with participation methods like Liquid Democracy. The Current governance process of the web3 ecosystem in general and Euler DAO in particular need to be optimised to accommodate the dynamic participation of the community.

Our core aim during phase 1 is to build ‘Protocol Experts’ who know the ins and outs of Euler Finance and governance. This approach will enable us to have quality participation from the community to Euler DAO before opening doors for more complex On-chain governance.

The Defi ecosystem is nascent and ever-evolving; the fragile nature of the ecosystem opens it to a wide range of unexpected risks. Therefore, the Euler DAO should have proactive risk management strategies to secure the protocol and its users during an emergency.

We will be building proposals to adjust different parameters of the protocol and be vigilant on the solvency of the protocol.

We follow a modified version of EulerDAO’s Risk Methodology to assess risk factors for ERC20 tokens.

DAOstewards Risk Methodology.

In addition to the Risk parameters for ERC20 tokens listed by Euler in ‘Ranking Assets’, We are also following a more comprehensive internally developed methodology which assigns risk scores to ERC20 tokens form a scale of 1- 6 where 1 is the best possible score and 6 the worst score.

  1. Smart Contract Risk
  • Quality of smart contract audits
  • Days of operation with/without a hack.
  • Nature of the source code: the ability to inspect, modify, and enhance
  • Number of independent audits
  1. Centralisation
  • Distribution of the token across the stake holders
  • Ability to mint/burn arbitrary amounts of tokens
  • Role of a DAO if any
  • Controlled by a meatspace entity or DAO
  1. Volatility
  • Price fluctuations over 30 days via Bollinger bands
  • EMA200
  • TTV; total trading volume over 30 days and 50 days
  • VIX
  1. Liquidity
  • Relative Circulating Supply = Circulating Supply/total supply
  • Total market depth
  • Relative market depth (token depth /depth of WETH/USDC)
  • Distribution of volume across chains and pools
  1. Oracle Risk
  • Stable chainlink price feed
  • Cost of moving Uni v3 TWAP


The Euler DAO will only succeed if we build a thriving ecosystem around the Euler protocol. Need to enable external builders to launch their projects on top of Euler and trustlessly govern the Euler ecosystem. Read more on the Future of DAOs.

Benefits of delegating to us

We help individual proposal authors in Euler DAO develop their ideas into quality proposals addition. We allow authors to pass the snapshot proposal threshold if their proposals have successfully completed eIP phase. (completed Phase 3 in the proposal lifecycle). If you want feedback on RFCs, ping our team.

1 Like

Thank you for a such a thoughtful post. Looking forward to seeing your future contributions!

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We believe the bounty program for @encodeclub could bring value to Euler DAO and attract more developers to build on the Euler Protocol. However, the Proposers fail to underline who they are and lay critical indicators to measure if the programme is successful or keep the Encode club accountable. This might be because they have relied on their previous ‘Rep’ generated from high-profile events and hackathons. This added to the fact that Euler emerged from one of Encode hackathons.

our members have tried to influence the proposal before going for snapshot voting but those weren’t considered in the proposal

  1. @jengajojo’s personal response
  2. @0xBaer’s personal response

Due to the circumstances mentioned earlier (i.e. potential benefits of the program due to the outreach and proven track record, on the other hand, lack of accountability measures)

Daostewards have decided to abstain from voting on the proposal.

Our known Delegators were commutated beforehand as soon as our internal poll ended.

[eIP 38] Delegate Optimisations In Governance-2-recognised-delegates
Voted ‘Yes’ with the Rationale: The recognised Delegates’ program will help Euler DAO achieve quality participation and support the DAO in attaining its goals w/ better coordination.
[link to internal poll]

eIP 39: Promote LUSD to Cross Tier

Voted Yes: DAOstewards have conducted an internal risk assessment and concluded that LUSD is a good fit as a cross-chain asset.
highlighted response of DAOstewards on the proposal

eIP 40: Schedule rolling monthly oracle change discussions & votes

Voted: yes
DAOstewards believe scheduling Oracle updates and bundling them together could reduce voter apathy.

eIP41: increase-borrow-factors-for-ldo-rai-mim-frax-comp-aave-snx-bal-busd-crv-1inch-yfi-snx

Vote: Yes
Rationale: Increasing BF of said assets will boost utilisation of Euler Pools

eIP 44: Fast-track - Convert FTT reserves to ETH

Vote: NO
Rationale: According to our evaluation, this proposal shouldn’t be considered as an emergency proposal. No DAO funds are at Risk; the value of said tokens are $15K at the time of publishing the proposal. If not executed proposal the DAO is opening doors to many front-running opportunities.

eIP 43 : Allow “abstain” vote

Vote: Didnt vote (Abstain)
Rationale: the proposal to include a mandatory voting option to ‘Abstain’ failed to include Abstain. Furthermore, this proposal was derived from the DAOstewards ideation thread, thus deciding to abstain from voting.

eIP46: Increase default borrow factor to 0.5 from 0.28

vote: NO
Rationale: the proposal hasn’t provided Enough information on the potential impact of the change. In our opinion, the author has to inform the DAO sufficiently on proposals like changing default parameters.

Title: eIP 45: Formalising Governance Processes

Vote: Yes
Implementing such changes aligns with our vision for the DAO

eIP 47 Promote rETH to collateral tier contingent on chainlink deploying a proper oracle

Vote: Yes
Rationale: Euler is currently the got to the marketplace to ETH LSD; adding rETH will only boot the looping cycle. This change will not have a huge impact on the overall stability of Euler protocol.

eIP 42 Delegating SAFE Airdrop

Vote: abstain
Rationale: Conflict of interests; DAOstewards are one of the candidates on the proposal to gain the SAFE delegation,

Updates on [ideation] [Ideation] Formulating the Proposal Lifecycle - #8 by 0xBaer

The pre-RFC proposal to update the governance process has gathered sufficient feedback from the community and two independent authors unaffiliated with DAOstewards have formalised the proposal. We are happy that we could influence the decision-making of the DAO and inspire the authors to formulate the RFCs, even though it is non-customary, as the original authors reserved all rights to finalise their proposals.

  1. RFC: Formalise Governance Processes
  2. Allow token holders/delegates to vote “abstain”
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RFC: Deploy Euler to BNB Chain

voting: No: make no changes
Rationale: The infrastructure for deploying Euler on BNB chain isn’t available now; deploying promptly might lead to the allocation of extra resources from the stakeholders, with might lead to deprioritization of current development while trying to honour the snapshot vote

eIP 50: Increase Snapshot Quorum

Voting option: Yes
Rationale: increasing the Quorum will strengthen the security of Euler governance

eIP 51 Update EUL Distribution Scheme to incentivize ETH deposits

Voting Option: Yes

Grant Proposal 7: Anthias x Euler Alert System Grant Proposal.

Voting option: Yes
Rationale: An alert system for Euler users on their portfolio in the dAPP will reduce the information asymmetry in Web3 vs traditional finance. This alert system can be an advantage for the users in terms of liquidation risk, and the DAO could also use the services in an emergency